A pharma watchdog strikes a deal with pharma

When pharma companies complain about ICER, the unelected watchdog group that weighs in on whether drugs are cost effective, they often point to its funding sources, which include perceived enemies of the industry. Now, ICER is considering a program that would allow drug makers to count themselves among its funders by buying the group’s services directly.

And that, STAT’s Ed Silverman points out, has some people concerned about the nonprofit’s reputation. In many other countries, determining whether drugs are cost effective is the job of the government. In the U.S., ICER fills that void, and a cozier relationship with manufacturers could cast doubt on its rulings.

“We do not question ICER staff’s integrity, but it is very hard to not grow to like your clients,” Bernstein analyst Ronny Gal wrote in a note to investors. “This funding mechanism is, respectfully, inherently problematic for an organization whose mission is to become the fair arbiter of drug value.”

Read more.